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Austin

On Nov. 6, 2008, the Austin City Council approved the Energy Conservation Audit and Disclosure Ordinance (#20081106-047), one of the most aggressive pieces of building energy efficiency legislation in the nation. It requires building energy rating and disclosure for nonresidential facilities and mandatory energy audits for homes and apartment complexes. Some apartment complexes are also required to undergo energy retrofits. The ordinance became effective in June 2009. It supports former Austin Mayor Will Wynn's Climate Protection Plan, launched in 2007, that aims to offset 700 megawatts of peak energy demand by 2020 to reduce Austin's carbon footprint. The ordinance was crafted by the Austin Energy Efficiency Retrofit Task Force with input from local realtors and other parties. The law requires energy audits and upgrades in addition to a commercial building energy rating and disclosure mandate. Effective June 1, 2009, residences with four or fewer units, including all single-family homes, must complete an energy audit prior to the sale of the property and provide a copy of the results of the audit to prospective purchasers. A range of exemptions are available, including for homes built within 10 years of the sale date, all condominiums or voluntary participation in some Austin Energy Utility programs. Audits are valid for 10 years. Apartment buildings older than 10 years must have an energy audit by June 1, 2011, while buildings less than 10 years old are required to perform an audit within 10 years of the completion of construction. The results of the audit must be posted within the building and provided to prospective tenants and buyers. Additionally, "high energy-use" properties consuming more than 150% of the average multifamily energy use per SF in Austin must make energy retrofits within 18 months to bring the property to within 110% of the average.

Residential facilities that meet one or more of the following criteria: constructed no more than ten years before the time of sale; participated in the Austin Energy Home Performance with Energy Star program (or equivalent program) not more than 10 years before the time of sale and either performed at least three efficiency measures, performed all recommended measures, or received from Austin Electric Utility an energy efficiency rebate of at least $500; participated in the Austin Energy Free Weatherization Program (or equivalent) not more than 10 years before the time of sale; or if the facility is manufactured housing designed to be used without a permanent foundation.
Multifamily facilities where (1) the owner completed comprehensive duct remediation work on the facility through participation in an Austin Electric Utility rebate program no more than 10 years before the applicable audit deadline; (2) HVAC equipment was replaced through an Austin Electric Utility rebate program in all units of the facility no more than 10 years before the applicable audit deadline; and (3) HVAC equipment was replaced with equipment meeting the requirements for an Austin Electric Utility rebate program in all units no more than 10 years before the applicable audit deadline.
Industrial buildings that qualify for tax exemption from State of Texas for manufacturing.

Number of Buildings Affected:

2,800

Floor Area Affected:

113,000,000 Sq. Feet

Transparency:

Required Transparency:

Yes

Recipients:

Buyers

Transparency Trigger:

Point of Transaction

Transparency Trigger Events:

Purchase/sell (required)

Required Transparency:

Yes

Recipients:

Lessees

Transparency Trigger:

Point of Transaction

Transparency Trigger Events:

Rent (required)

Reporting:

Required Reporting:

Yes

Reporting Trigger:

Date Certain

Reporting Frequency:

Annually

Utility Requirements/Support:

Utility Requirements/Support:

Yes

Notes:

Works with municipal utility Austin Energy. Properties may be exempted if they participated in a utility rebate program.

Verification:

Verification:

No

Compliance:

Compliance Enforcement:

Yes

Penalties for Non-Compliance:

Yes

Description:

Proof of culpable mental state is not required for a fine of up to $500. If a person acts with criminal negligence, a fine of up to $2,000 may be assessed.

Number of Buildings in Compliance:

3,527

Compliance Rate (Based on # of Buildings):

79% (80% commercial, 76% multifamily)

Compliance Rate (Based on Building Area):

83% commercial, 88% multifamily

Notes:

Exemptions are allowed when:
a) due to special circumstances unique to the applicant's facility and not based on a condition caused by actions of the applicant, strict compliance with provisions of this chapter would cause undue hardship;
b) due to exhaustion of reasonable energy efficiency measures, full compliance would require performance of work excluded from the scope of Section 6-7-23(B);
c) application for a permit to substantially remodel or demolish the facility will be filed not later than 6 months after the time of sale; and in the case of a remodel, the owner and the purchaser of the facility have entered into a binding agreement whereby the purchaser of the facility agrees to complete an energy audit within a specified period of time after remodel of the facility is complete;
d) the director determines that the facility cannot be adequately evaluated using currently available audit or rating tools; or
e) by filing an application with the director